Allegation notice. Allegations from the cited record; outcomes noted where adjudicated.
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CIK 0000878146 · Dynamic Associates / LATI

Dynamic Associates → LATI — The Blank-Check Host

The pipeline begins with a private Nevada incorporation — Tele-Lawyer, Inc. (NV C23375-1995), Cane sole officer, all stock to herself and family outside SEC scrutiny. That private position was transplanted by reverse merger into Dynamic Associates, Inc. (CIK 0000878146), a SIC 6770 blank-check shell that raised a claimed $30M. A 153:1 reverse split wiped out 99.35% of the public float and handed 5,354,997 shares (91.6%) to the Tele-Lawyer holders; the combined entity was renamed Legal Access Technologies, Inc. (LATI), the CIK travelling intact.

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How it worked

The control bloc was hidden in plain sight. Six days after the LATI rename, five Schedule 13G filings landed on a single day: Cane reported 48.7% — calibrated one tick below the 50% control-person threshold — while Shirley Cane and the Mekelburg bloc filed separately, bringing coordinated family control to 85.7% of the post-split float that was never aggregated as a “group” under Section 13(d). MW Medical's Genesis Health Management subsidiary supplied a $49.3M Medicare commercial veneer over what was structurally a second blank-check vehicle, while $8,599,085 in debt-to-equity conversions ran through the shell in the same Jan–Jun 2001 window as the merger and the family-bloc 13Gs. The same insider register seeded at Tele-Lawyer travelled intact into the MW Medical / Davi Skin chain.

Open the filed qui tam complaint at this section — the operative pleading (United States ex rel.), jumped to the matching allegation; the filed PDF is one click away.

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The seed position: Tele-Lawyer, Inc.

The entire pipeline begins with a private Nevada incorporation. On 29 December 1995, Tele-Lawyer, Inc. (NV C23375-1995) was formed with Cane as sole officer; stock was issued to herself and family entirely outside SEC scrutiny.1 This private vehicle carried no reporting obligations and no public float — its sole purpose was to accumulate the seed position that would later be transplanted, through a reverse merger, into a publicly-traded reporting shell.

Tele-Lawyer was not a law firm or a technology venture. It was a private stock-accumulation vehicle. Every share it issued to Cane and family was the raw material for the reverse-merger transaction that followed five years later.

  1. SEC EDGAR, Dynamic Associates, Inc., CIK 0000878146; Corporate Entity Genealogy: Dynamic Associates Network, § I (2025); render pipeline node 1.
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Dynamic Associates: the blank-check host shell

Dynamic Associates, Inc. (CIK 0000878146) was registered as a SIC 6770 blank-check company — a shell corporation carrying no operations, existing solely to be merged into or out of. According to SEC EDGAR filings spanning 1996 through 2001, Dynamic raised a claimed $30 million and served as the primary unregistered-securities issuance vehicle before the reverse merger.1

During the Dynamic Associates phase, MW Medical, Inc. was spun out on 11 March 1998 (CIK 0001059577) via a 1:1 share distribution that mirrored the Dynamic register into a separate reporting shell. Jan Wallace served as President, CEO, and Director of MW Medical; Cane signed filings as “Michael A. Cane.” MW Medical’s Genesis Health Management subsidiary and its $49.3M Medicare revenue provided a commercial veneer over what was structurally a second blank-check vehicle.2

  1. SEC EDGAR, Dynamic Associates, Inc., CIK 0000878146, annual reports 1996–2001; Corporate Entity Genealogy § III (2025).
  2. SEC Form 10-SB, MW Medical, Inc. (Sept. 14, 1998), Accession No. 0001059577-98-000001; SEC Form 10-KSB, Dynamic Associates, Inc. (fiscal year 2000), citing Genesis Health Management / Medicare operations.
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The 153:1 reverse split and the LATI rename

On 12 June 2001, Tele-Lawyer reverse-merged into Dynamic Associates (the SIC 6770 blank-check shell carrying CIK 0000878146), and the combined entity was renamed Legal Access Technologies, Inc. (LATI).1 The transaction was structured around a 153:1 reverse split — wiping out 99.35% of the public float. The result: 5,354,997 shares (91.6%) landed with the Tele-Lawyer holders, converting a private stock position into the controlling bloc of a reporting public company in a single corporate action.

A 153:1 reverse split wipes out 99.35% of the public float; 5,354,997 shares (91.6%) land with the Tele-Lawyer holders.SEC Form 8-K/A, Dynamic Associates, Inc. (June 2001); render pipeline node 3 (CIK 0000878146)

The CIK travelled intact through the rename: 0000878146 is LATI. The public company’s reporting history, its listed status, and its shareholder register all transferred to Cane’s group without any new securities offering to the public.

  1. SEC Form 8-K/A, Dynamic Associates, Inc. (12 Jun 2001), CIK 0000878146; Corporate Entity Genealogy § IV (2025).
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Family-bloc concealment: five 13G filings, one day

Six days after the LATI rename, on 18 June 2001, five Schedule 13G filings landed at the SEC on a single date. Cane reported 48.7% — 2,871,051 shares — calibrated precisely below the 50% threshold that triggers heightened control-person disclosure obligations. Shirley Cane and the Mekelburg bloc filed separately, bringing coordinated family control to 85.7% of the post-split float.1

Coordinated family control: Cane 48.7% + Shirley Cane ∼5.35% + Mekelburg bloc ∼31.65% = 85.7%. Each piece sits under a disclosure line. Together they are a single voting bloc. None was ever aggregated as a “group” in any SEC filing.

The 85.7% was never filed as a group under Section 13(d). Splitting one control position across related holders kept every individual filing below an aggregation trigger. The controlling persons remained invisible across the entire pipeline chain — the same technique later applied to the Davi Skin offshore nominees.2

  1. Schedule 13G filings, LATI (Legal Access Technologies, Inc.), CIK 0000878146 (18 Jun 2001); render pipeline node 4; 15 U.S.C. §78m(d); 17 C.F.R. §240.13d-1.
  2. Corporate Entity Genealogy § IV (2025); render family-bloc visualization (“Reported 48.7% · actual 85.7%”).
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The Genesis / Medicare veneer

MW Medical’s Genesis Health Management subsidiary reported $49.3 million in Medicare revenue — providing the appearance of a functioning healthcare enterprise layered over what was structurally a blank-check vehicle. This commercial veneer served two purposes: it supplied operational narrative for SEC filings and gave the shell credibility when it was marketed to prospective buyers or merger partners.1

The healthcare operations did not prevent or delay the shell’s use as an unregistered-securities vehicle. According to SEC EDGAR filings, documented debt-to-equity conversions for Dynamic Associates totalled $8,599,085 between January and June 2001 alone — the same window as the reverse merger and the family-bloc 13G filings.2

  1. SEC Form 10-KSB, Dynamic Associates, Inc. (fiscal year 2000), Genesis Health Management & Medicare reporting; render pipeline node 2.
  2. Corporate Entity Genealogy § III–IV (2025); SEC EDGAR debt-to-equity conversion schedule, Dynamic Associates, CIK 0000878146 (Jan–Jun 2001).
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Debt-settlement exits and the continuing pipeline

When Tele-Lawyer reverse-merged into Dynamic, Jan Wallace and co-conspirator Grace Sim received immediate “debt settlement” shares upon resignation — a characteristic feature of the enterprise: insiders extracted equity through manufactured claims at every corporate transition, not just at the terminal dump.1

The Dynamic / LATI pipeline fed directly into the MW Medical / Davi Skin chain. The same insider shareholder register — seeded at Tele-Lawyer, transplanted through the 153:1 reverse split, concealed via the family-bloc 13G structure — travelled intact as MW Medical was driven into Chapter 11, emerged via a 1:500 reverse split, and was ultimately liquidated as Davi Skin with an estimated $9.8 million in fraudulent stock sales before the SEC revoked its registration in August 2012.2

The CIK is the through-line. 0001059577 travels from MW Medical to Davi Skin; 0000878146 from Dynamic Associates to LATI. Two reporting histories, one control group, never disclosed as such.

  1. Corporate Entity Genealogy § IV (2025) (Wallace and Grace Sim “debt settlement” shares on resignation); SEC Form 8-K/A, Dynamic Associates (Jun 2001).
  2. SEC Order, In the Matter of Davi Skin, Inc. (Aug. 2012) (registration revoked); Corporate Entity Genealogy § VI (2025); Wallace resume (capital aggregation $39M, combined market caps $170M).
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Documents

The civil complaint naming Dynamic Associates, Inc. — Westminster Agencies' action over the entity Cane and Wallace controlled before its reverse-merger into Legal Access Technologies.

Westminster Agencies v. Dynamic Associates · 9 Apr 2001
Westminster Agencies v. Dynamic Associates 1 / —
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Westminster Agencies, Ltd. v. Dynamic Associates / Legal Access Technologies, Inc. (Nev. Dist. Ct.). A creditor action on the shell’s promissory note — it resolved in a $276,955 judgment for repayment of principal, the obligation later carried on the company’s books as convertible notes and accrued interest. What makes it useful is not its cause of action but its timing: it is the earliest court record fixing who controlled the Dynamic vehicle, on the eve of the reverse merger that became LATI.

  1. What the complaint actually pleads. A straight debt claim — non-payment of the Dynamic / LATI promissory note to Westminster — reduced to a $276,955 judgment on the principal, with roughly $270K of note-and-interest left on the balance sheet. No securities-fraud or Medicare count appears in this pleading; its value is that it puts the shell’s control and insolvency on the court record.
  2. The entity behind it — a blank-check securities vehicle. Dynamic Associates (CIK 0000878146) was an SIC 6770 blank-check shell: no operations, existing to issue unregistered stock. In the same window the note went unpaid, insiders ran $8.6M of debt-to-equity conversions and the 153:1 reverse split that handed the Cane family bloc 91.6% of the float — the securities-fraud machinery this complaint sits on top of.
  3. The medical / federal-funds veneer. The shell’s commercial cover was MW Medical’s Genesis Health Management subsidiary and its $49.3M in Medicare revenue — operating narrative for the SEC filings and credibility for the shell, layered over a vehicle whose real output was free-trading stock drawn from a federal-healthcare revenue story.
  4. Why it matters here. The note default fixes who held Dynamic before the offshore dump began. The securities-fraud and Medicare facts above are the entity’s documented conduct from the SEC record — context for the defendant, not counts charged in this particular complaint.
more in the full record →
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Timeline

  1. 29 Dec 1995Tele-Lawyer, Inc. (NV C23375-1995) incorporated; Cane sole officer; stock issued to herself and family outside SEC scrutiny — a private stock-accumulation vehicle.
  2. 1996–2001Dynamic Associates, Inc. (CIK 0000878146), a SIC 6770 blank-check shell, raises a claimed $30M as the primary unregistered-securities issuance vehicle.
  3. 11 Mar 1998MW Medical, Inc. (CIK 0001059577) spun out via 1:1 share distribution mirroring the Dynamic register; Wallace President/CEO/Director; Cane signs as “Michael A. Cane.”
  4. Jan–Jun 2001Documented debt-to-equity conversions for Dynamic Associates total $8,599,085 — the same window as the reverse merger and family-bloc 13G filings.
  5. 12 Jun 2001Tele-Lawyer reverse-merges into Dynamic Associates; a 153:1 reverse split wipes out 99.35% of the float; 5,354,997 shares (91.6%) land with Tele-Lawyer holders; entity renamed LATI; CIK 0000878146 travels intact.
  6. 18 Jun 2001Five Schedule 13G filings land in one day — Cane 48.7% (below the 50% control threshold), plus Shirley Cane and the Mekelburg bloc = 85.7% coordinated family control, never filed as a Section 13(d) group.
  7. 2007–2012The same insider register travels into MW Medical → Davi Skin; ~$9.8M in fraudulent stock sales before the SEC revokes Davi Skin's registration in August 2012.
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Named parties

  • Kyleen (“Michael A.”) Cane (sole officer Tele-Lawyer; 48.7% reported / 85.7% actual family bloc)
  • Jan Wallace (MW Medical President/CEO/Director; “debt settlement” shares on resignation)
  • Shirley Cane & the Mekelburg bloc (separately-filed 13G holders completing the 85.7%)
  • Grace Sim (co-conspirator; debt-settlement exit shares)
  • Entities: Tele-Lawyer, Inc. (NV C23375-1995) · Dynamic Associates, Inc. / Legal Access Technologies (CIK 0000878146) · MW Medical, Inc. (CIK 0001059577) · Genesis Health Management
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Citations & pleadings